Stanislaus County has approved the purchase of a new building in Salida to serve as the administrative offices for its Health Services Agency. The county will acquire the 45,000-square-foot building from Northpoint Office Towers LLC for $8.32 million, which is 12% less than the original asking price, according to a county staff report. An additional $4.8 million will be used for improvements and furnishings, bringing the total investment to $13.2 million.
The decision follows years of temporary arrangements after major water leaks in 2016 made the agency’s previous location on Scenic Drive in Modesto unusable. Since then, the agency has operated out of modular buildings, a former print shop, and leased facilities.
An assessment had determined the agency needed between 45,000 and 50,000 square feet for administration and public health programs. However, new construction was estimated to cost $50 million, prompting county officials to seek more cost-effective solutions.
In January, supervisors approved a lease for 21,696 square feet at 5330 Pirrone Avenue in Salida, with an option to purchase. Last week, the Board of Supervisors finalized the purchase of one of two buildings at that location.
The move will allow about 125 employees to transfer to the new office. Administration, human resources, vital records, and several public health programs will occupy the building first. Additional programs will relocate as space becomes available, coinciding with the expiration of existing private tenant leases, which currently generate $464,000 in annual revenue and run through 2027 to 2034.
Health clinics and the Women, Infant & Children program will remain at their current locations.
“We are pleased to have the opportunity to bring Health Services Agency staff back together in a shared location,” HSA Director Heather Duvall said by email. “This move will strengthen internal collaboration, improve operational efficiency and enhance our ability to support our programs, staff and the community.”
The $4.8 million allocated for improvements will cover safety upgrades, plumbing, technology installations, and other modifications. Funding for the purchase and renovations will come from public facility fees, public health project funds, and the agency’s fund balance.
